Economics for Managers

by Paul G. Farnham

After reading this book, business managers should have a good understanding of how changes in different economic variables impact the macroeconomic policy goals of full employment, a stable price level, and sustained economic growth. This book presents economic theory that goes beyond the often complicated principles of economics, and allows readers to understand the role of economics in business decision-making. Combining elements of both micro- and macroeconomics, this book covers: demand, supply, and equilibrium; production and cost analysis; market structures (perfect competition, monopolies, and oligopolies); government spending; and bank reserves. An excellent study of the economics of decision-making for business managers and executives.

Genres: Textbooks

552 pages, Paperback

First published November 18, 2004

Reviews

[Mark Oppenlander]

This is a graduate level textbook that includes basic information on both micro and macroeconomics and then tries to relate these topics to the decisions managers must make on behalf of their firms. As a textbook on economics, it succeeds reasonably well. The basic micro and macro economics concepts are handled clearly and quickly.

I also really enjoyed the use of recent real-world examples (e.g. housing crisis, Asian financial markets, Euro zone issues) to explain the various economic concepts. However, the attempt at managerial application is less successful. Farnham often seems to be saying, "Here is a big economic concept and you as a manager need to be aware of it as it could influence the decisions you have to make on behalf of your business." But the how and why of the application is in short supply. I recognize that business decisions are often very industry and market specific. Nonetheless, it feels like a bit of a cop out.

[AtlantaTwin]

Loved, loved, loved this class. It opened up my mind to economics and I think I understand current events so much more now when I listen to the news -- I understand the bigger implications of small events. I just can't bring myself to giving a textbook greater tha 3 stars, but would've rated the class as 5 stars. :-)

[Ronald Newton]

Excellent presentation of economics with linkages to the real world of management.

My only negative comment is there were maybe too many examples.